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Pareto Principle

Alfredo Pareto (1848-1923) Italian


Economist:
Conducted studies of the distribution of
wealth in Europe.
20% of the population has 80% of the
wealth

Joseph Juran used the term vital few


& trivial many or useful many. He
noted that 20% of the quality
problems caused 80% of the dollar

(64)

60
50
40
30
20

(13)

(6)

(3)

(2)

(2)

en
m

D
ef

W
ro
n

di

rD
es

ig

(10)

si
ec
on
ti v
s
e
M
ac
pa
hi
rt
s
ne
ca
O
pe l i b
ra
ra
ti o
to
ns
re
D
r
ef
ro
ec
rs
ti v
e
Su
m
at
rf
ac
er
e
ia
ls
ab
ra
si
on
s

10

Po
o

A pareto
diagram is a
graph that
ranks data
classifications
in descending
order from left
to right.

70
Percent from each cause

Pareto
diagram

Causes of poor quality

% Complaints

Pareto diagram

Pareto diagram
Sometimes a pareto diagram has a
cumulative line.
This line represents the sum of the
data as they are added together from
left to right.

Pareto diagram
Sometimes a pareto diagram has a
cumulative line.
This line represents the sum of the
data as they are added together from
left to right.
Above the bars, using the 2nd Y-axis representing the
cumulative data, plot the cumulative percentage
values in the form of a line.
5

Pareto diagram
The cumulative
percentage can
be computed
(dotted line).
On the right,
add a vertical
percent scale
equal in length
to the scale on
the left.
Label this from
0% to 100% .
6

Pareto diagram

Table 1. Example of a Tabulation of Causes of Ball Bond


Lifting for use in a Pareto Chart
Ball Lifting Cause
Bonder Set-up Issues
Unetched Glass on Bond
Pad
Foreign Contam on Bond
Pad
Excessive Probe Damage
Silicon Dust on Bond Pad
Corrosion
Bond Pad Peel-of
Cratering
Resin Bleed-out
Others
Total

Frequency Percent (%)


19
11
9
3
2
1
1
1
1
2
50

38%
22%
18%
6%
4%
2%
2%
2%
2%
4%
100%

Cum Percent
(%)

38%
60%
78%
84%
88%
90%
92%
94%
96%
100%
-

Pareto diagram

Table 1. Example of a Tabulation of Causes of Ball Bond


Lifting for use in a Pareto Chart
Ball Lifting Cause
Bonder Set-up Issues
Unetched Glass on Bond
Pad
Foreign Contam on Bond
Pad
Excessive Probe Damage
Silicon Dust on Bond Pad
Corrosion
Bond Pad Peel-of
Cratering
Resin Bleed-out
Others
Total

Frequency Percent (%)


19
11
9
3
2
1
1
1
1
2
50

38%
22%
18%
6%
4%
2%
2%
2%
2%
4%
100%

Cum Percent
(%)

38%
60%
78%
84%
88%
90%
92%
94%
96%
100%
-

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